China Southern Airlines starts flying between Darwin and Guangzhou

Direct flights have resumed between the Northern Territory and China for the first time since the COVID-19 pandemic, with three weekly services from Darwin to the city of Guangzhou.

The China Southern Airlines flights began earlier this month and come at the end of a year in which the NT capital has also added new air routes to Singapore, Malaysia and Indonesia.

Business and government officials are hailing the new routes as a win for trade and tourism ties between Asia and Australia, and a sign that the NT's economy is on the rebound.

Rob Porter, the executive general manager of the Airport Development Group (ADG), said the new flights to Guangzhou would have the capacity for 52,000 passengers annually.

"Bookings are pretty solid to start off the new service, and the message is getting out there," he said.

"I think both cities have a wonderful opportunity for tourism.

"[Guangzhou] is an amazing city, 32 million people, some amazing sights to see."

Asian Relations Minister Robyn Cahill said the NT government saw the new international routes as a "great statement about the way in which our economy is moving".

"We have to remember that [Guangzhou] is a departure point pretty much for the rest of the world, so it makes Darwin far more accessible across all destinations," she said.

The Indonesian ambassador to Australia, Dr Siswo Pramono, said the new international routes would be a win for both sides, to help develop regional trade in mining, cattle and tourism.

"We have 1.7 million Australians visiting Indonesia every year," he said.

"Many of them end up in Bali, but the rest also in other part of Indonesia — and this is good."

NT government offers passenger subsidies

The NT government is subsidising the new route under the Territory Aviation Attraction Scheme, but the cost to taxpayers remains confidential due to commercial reasons.

Ms Cahill said while she couldn't reveal the exact figure paid to China Southern, she said the government believed the investment would pay dividends.

"It's really important that we invest in these services to demonstrate to the proponents who want to come in here that we also believe in the viability of these services," she said.

"For every Chinese tourist that comes into the Northern Territory, for a very small investment we get around about a $3,000 return, so it's quite significant."

Previously, direct flights had operated between Darwin and the Chinese city of Shenzhen via Donghai Airlines, but ceased servicing the jurisdiction during the pandemic in 2020.

Prior to the Donghai Airlines route folding, questions had been raised about its sustainability.

Ms Cahill said she hoped the China Southern flights could be a longer-term prospect.

"We just have to use it," she said.

"People are asking for these opportunities … businesses are looking for the opportunity to expand their horizons.

"So it's here, it's on our doorstep, and now we just have to back it in."

Hopes for lower domestic airfares

Over recent years, the NT has struggled with its domestic Australian routes, with residents facing exorbitant airfares, poor flight times and frequent unexpected scheduling changes.

Mr Porter and Ms Cahill said they believed the new international flights could help put downward pressure on domestic flight costs and incentivise airlines to run at better times.

"Encouraging people to fly into Darwin, experience our beautiful territory, then perhaps fly on to other destinations like Sydney, Brisbane, Melbourne — it will absolutely boost the availability," Ms Cahill said.

Kate Heelan, chair of the Australian Indonesia Business Council NT, said the new international flights could also help better connect the jurisdiction to its neighbouring trading partners.

"Connectivity has always been an issue, particularly air connectivity," she said.